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By Maddy Savage
1 December 2015
The cobbled streets of Stockholm may be cold and snowy during winter, but
Europe s fastest growing city is one of the world s hottest startup hubs and a
magnet for international talent.
Home to fewer than one million people, Sweden s capital is the birthplace of
Skype, Spotify and Mojang; only Silicon Valley boasts more billion dollar
companies per capita, according to investment firm Atomico.
Once the snow melts in early spring, the city is among the greenest in the
world. Nestled on 14 islands, two thirds of Stockholm is made up of either
water or parks. And locals make it a priority to enjoy these serene
surroundings. Fewer than 1% of Swedish employees work more than 50 hours per
week, one of the lowest rates in the OECD.
Fewer than 1% of Swedish employees work more than 50 hours per week.
Quality of life is paramount. New parents are given 480 days of leave to look
after their infants, which can be split between them, while childcare is
heavily subsidised. Little wonder that Sweden was rated the best location in
the world for family life in HSBC s 2015 Expat Explorer survey.
It s absolutely a 10 out of 10, said Adam Webb, 34, a British entrepreneur
and father-of-one. Everything is geared towards helping parents, from giving
dads time off on almost full pay to free bus rides for anyone with a buggy.
A haven for hipsters, Stockholm also boasts what Vogue magazine recently ranked
as Europe s coolest neighbourhood. On the island of S dermalm, just south of
the city centre, independent record stores still make money, while a thriving
vintage scene and plethora of cosy cafes offer a taste for Scandinavia s love
affairs with timeless style and freshly brewed coffee.
The Nordic nation s design and fashion spheres, led by iconic global brands
Ikea and H&M, are large employers of expats. Plenty more score jobs in the city
s strong science, engineering and IT sectors.
But relocating to the largest metropolis in the Nordics isn t without obstacles
that go beyond the dark, cold, winter days and high taxes that Sweden is famous
for. Here are the key things to think about if you re considering choosing
Stockholm as your next base.
Scoring accommodation
Many major international companies including Spotify, H&M and Ericsson offer
expats accommodation for the first three months of their contracts in
Stockholm. But other foreigners arriving in the city are left to battle with a
unique property market and an acute shortage of apartments.
More than a third of Swedes live in rented housing, half of which is owned by
local councils or state rental companies and subject to rent caps. If you re
lucky enough to get a first hand contract for this kind of accommodation, it is
yours for life. Expats are welcome to join the queue, but in Stockholm they
will find around half a million locals in front of them and an average wait of
nine years.
The result is a highly competitive subletting market, as Swedes lease out their
rental apartments after moving in with partners or buying their own.
According to Statistics Sweden, October figures showed the average cost of
renting a two-bedroom apartment in Stockholm was 6,518 Swedish kronor ($783)
per month. However, second-hand contracts frequently change hands for much
more, despite regulations designed to ensure tenants don t pay more than 15%
extra than those they are renting from.
Finding a place to live is the single biggest challenge when moving to
Stockholm but there is a lot going on to try and solve the problem, said
Julika Lamberth from Stockholm Business Region, a state-funded company working
to increase investment in the city, including accommodation aimed at foreign
professionals. Don t be afraid to ask your employer if they can help and be
sure to put the word out that you are looking to rent on networking sites like
Facebook.
One reason living in the city centre is so popular is that its compact size
guarantees short commutes for many residents. For 790 kronor ($95) a month, you
can buy a travel pass valid for all zones on the city s subway, trains and
buses. Or you can do as many locals do, and travel the Scandinavian capital by
bike.
I feel so much luckier than friends in London or Beijing who face a three-hour
round-trip each day, said 28-year-old Irina Jingqi Liu, who lives in the
northern suburb of Sundbyberg and commutes by subway just 15 minutes to get to
the heart of the city.
You save a lot of time on travelling in Stockholm. That gives me more energy
to participate in other activities, she explains.
Language battles
Swedes are the best in the world at speaking English as a second language,
according to the global EF English Proficiency Index and most large
international firms, as well as plenty of tech companies and startups
recruiting talent from abroad, use English as their working language.
Still, for those who make the move without a position lined up, knowledge of
Swedish can be a major advantage in a highly educated and competitive job
market. Less than 8% of the Swedish population is unemployed, but this jumps to
17% among foreign-born residents according to Statistics Sweden.
The Swedish government offers free language classes for immigrants, called SFI.
It can feel bizarre that so many jobs ask for Swedish when almost everyone
speaks perfect English, said Briton Webb, who relocated to Stockholm from
Paris with his former Brazilian-Swedish partner and their daughter in 2014, and
now runs Gymgo, a fitness startup, with a fellow British colleague. The duo
used ALMI, a government-funded body that provides free advice to foreign
entrepreneurs, to help them navigate their way through the paperwork.
It s really quick to set up a business here but without ALMI it would have
been more of a struggle. They helped us a lot with all the administration and
translation.
Getting a visa
EU and Norwegian citizens are entitled to work in Sweden or move there in
order to look for a job without obtaining a visa.
However, those from most other countries generally need to apply to the Swedish
Migration Board (Migrationsverket) for a work permit, demonstrating that they
already have an official job offer from a Swedish employer.
There are a few exceptions. Working holiday visas for up to one year are
granted to 18-to-30-olds from Australia, Canada, New Zealand and South Korea.
Those relocating to Sweden in order to live with a Swedish partner (or a
foreigner who already has a work permit) can apply for a residence permit
before securing a job.
The Swedish workplace
Stockholm places a greater focus on work-life balance than other world
capitals.
It's a very different experience to when I worked in the UK and clients wanted
to stay in touch on weekends and during the evening, said Canadian Ameek
Grewal, 29, who relocated from London to Citibank s Nordic headquarters a year
ago.
While initially finding it frustrating having to wait longer for client
responses, he now appreciates the mutual respect felt in Sweden.
I ll wait until office hours to call or email my customers and at the same
time I know I won t be phoned when I m on holiday, Grewal said.
Sweden frequently scores praise for having the largest proportion of working
mothers in the EU and was recently ranked the fourth most gender equal country
by the World Economic Forum.
You feel that companies make decisions based on competencies and abilities not
because you re a guy or a girl.
You feel that companies make decisions based on competencies and abilities not
because you re a guy or a girl, said Jingqi Liu, an IT project manager from
China.
However, she said some female expats can struggle with the impact of a more
egalitarian society when it comes to relationships outside the office. Here,
chivalry is almost dead.
Guys don t always dare to offer women help like with a bag or something
because it s not politically correct they re worried that the girls are going
to be insulted, she explained. I also have a lot of friends complaining that
bills are always split down the middle.
Making friends
When it comes to socialising, Sweden was named the worst place in the world for
expats seeking to strike up new friendships in HSBC s Expat Explorer survey.
Swedes are polite, but they don't do small talk. And, while they may appear
reserved, they're usually just respecting your privacy, the report s authors
said.
But the survey also points out a common feeling among expats that once you've
made local friends, you'll find them loyal and warm .
For Iranian Hamed Khoramyar, the key to settling in was to forge connections
with other foreigners first, while being patient about developing relationships
with Swedes. The 38-year-old runs a data-security company and sought asylum in
Sweden in 2010. After five years, he now has a strong group of friends he s
met through business and a shared love of beer and biking.
With the expat community you re all looking for new contacts and new friends.
That part is easy, he explained. But with Swedes you have to respect their
culture. You see it very clearly that they don t even talk to each other on the
subway or in shops. Swedes get more comfortable once you start socialising at
the bar or at parties.